Contribution of Textile and RMG Sector in Bangladesh Economy

Contribution of Textile & RMG Sector in Bangladesh Economy
Md. Noor Hossain
B.Sc Engg.(Textile): BUTex, MBA:DU; 
Merchandiser: Epyllion Group
Email: noor.butex@gmail.com



Introduction:
It’s very perplexing to the Textilians regarding the Contribution of Textile & RMG sector in Bangladesh Economy. Sometimes we mix the contribution of Export with the contribution in GDP.

Composition of export volume of Bangladesh:
1. Total Export: $26.25 Billion (2012-13 Fiscal Year)
2. RMG Export: $21.52 Billion (2012-13 Fiscal year)

Composition of RMG Export: 
  • Knit Sector: $10.48 Billion &  
  • Woven Sector: $11.04 Billion (FY: 2012-13)
Contribution of RMG sector in national economy of Bangladesh
Composition in Percentage of Total Export:
  • Textile: 81.39% (Knit: 39.89% & Woven: 41.50%)
  • Specialized Textiles: 0.75%
  • Frozen Food: 2.75%
  • Jute & Jute goods: 4.9%
  • Leather: 2.6%
  • Agri- Product: 1.5%
  • Chemicals: 0.5%
  • Others: 5.6%
Composition of GDP in Bangladesh:
  • Total GDP: $122.7 Billion (FY: 2012)
  • Service: 53%
  • Industry: 28.6%
  • Agriculture: 18.4 %
Contribution of RMG sector to GDP of Bangladesh:
Contribution of RMG sector to GDP in Bangladesh is Approx 18%. As I don’t find any exact figure of Contribution of RMG sector to GDP of Bangladesh. But If we calculate it from raw data then we can easily find out a rational figure. If we consider 82% of all export is RMG sector then the percentage becomes 23, (122.7*28.6%*82%=28.77, 28.77/122.7*100=23.44%). But we should keep in mind that all textile industry is not export oriented. So its very rational to accept it as 18%. Another example is that total approx GDP $122.7 Billion and total Export of RMG sector 21.52 Billion, then Contribution becomes 17.53% . so we can easily consider it as 18 percentage as we don’t have any exact figure for it.
Sharing Knowledge: Students and professionals can publish your article here. It is a platform to express your knowledge throughout the world. For details, visit: Submit Article

Editor-in-Chief:

Mazharul Islam Kiron is a textile consultant and researcher on online business promotion. He is working with one European textile machinery company as a country agent. He is also a contributor of Wikipedia.


Let's Get Connected: LinkedIn | Facebook | Google Plus

Back To Top